Financial Performance - Revenues for the three-month period ended March 31, 2025, increased to $7,860,000, a 47% increase from $5,344,000 in the same period of 2024[6] - Gross profit for the same period was $4,595,000, compared to $3,003,000 in 2024, reflecting a gross margin improvement[6] - Operating loss for Q1 2025 was $1,719,000, slightly higher than the loss of $1,424,000 in Q1 2024[6] - Net loss for the three months ended March 31, 2025, was $2,338,000, a significant reduction from $6,581,000 in the prior year[6] - The Products business unit generated revenues of $7,690, while the CDMO Services unit contributed $170[58] - The net loss for the three months ended March 31, 2025, was $2,338, compared to a net loss of $6,581 in the same period of 2024, indicating a significant reduction in losses[58][60] Assets and Liabilities - Total current assets increased to $9,643,000 as of March 31, 2025, up from $7,856,000 in 2024, driven by higher cash and inventory levels[4] - Total liabilities rose to $27,467,000, compared to $23,671,000 in 2024, primarily due to an increase in loans from $3,905,000 to $7,497,000[4] - The accumulated deficit as of March 31, 2025, was $98,756,000, up from $96,418,000 in 2024, indicating ongoing financial challenges[4] - Cash and cash equivalents at the end of Q1 2025 were $3,401,000, a slight decrease from $3,436,000 at the end of Q1 2024[11] Financing and Funding - The company plans to fund its near-term activities through capital fundraising and debt instruments, highlighting reliance on external financing[20] - The company has not yet commenced generating sufficient sales to fund its operations, raising concerns about its ability to continue as a going concern[20] - The Company received $1,797 from new loan facilities during the three-month period ended March 31, 2025, with interest rates of 5%, 10%, and 12% per annum[48] - The Company has not yet closed the convertible loan facilities as of March 31, 2025, with a total balance of $483 from new loan facilities[48] - Following March 31, 2025, the Company received an additional $2,051 from 12% interest rate loan facilities[64] - The Company plans to extend the Early Conversion Warrants and Major Investor Warrants held by lenders for an additional 24 months as part of the new loan facilities[48] Shareholder Information - The company has a total of 17,327,716 common shares issued and outstanding as of March 31, 2025[32] - The company has 1,891,114 options outstanding with a weighted average exercise price of $6.30 as of March 31, 2025[36] - The company has 73,557 warrants outstanding with an average exercise price of $7.58 as of March 31, 2025[40] Management and Compensation - The Company’s key management personnel compensation increased, with the CEO's management fees rising to $191 from $117 year-over-year[50] - The company recognized equity settled compensation of $132,000 for the three months ended March 31, 2025, compared to $133,000 for the same period in 2024[35] Operational Insights - The company has two operating segments: Products and CDMO Services, with management evaluating performance based on operating profit[54][58] - No single customer accounted for 10% or more of total revenue for the three months ended March 31, 2025[62] - The average monthly lease fee for the Yavne manufacturing facility is NIS 101 ($28), subject to annual increases[29] - The company believes it is probable that the two extension options for the Yavne manufacturing facility lease will be exercised, extending the lease until September 2026[30] - The company did not issue any new options during the three months ended March 31, 2025, but had 214,885 options granted in the previous period[36] - The company has not closed any loan facilities as of March 31, 2025[45]
BioHarvest Sciences Inc(BHST) - 2025 Q1 - Quarterly Report